At present, Sichuan is the main production base for 
weight equipments, power station equipments, locomotives & rolling stocks. These years China has been developing wind power generations and nuclear power stations rapidly, many power stations began to be under construction. Meanwhile, industrial structure of the west China is also undergoing some adjustments. Under these conditions, a new high-end logistics product was brought out: Project Logistics.
Project Logistics is a burgeoning industry, including all the transportation tasks for those large construction projects, such as the transportation of oversized products, whole sets of equipments, Equipments for infrastructure projects, etc. The whole process involves not only the product transportation, but also warehousing, safety control, technical service & later maintenance. In fact, Project Logistics is much more complicated than those general and simple transportation services, it has several main transportation modes as follows:
¡ñ Road Transportation
¡ñ River Transportation
¡ñ Sea Transportation
¡ñ Flight Chartering Transportation
¡ñ Multi-mode Transportation
Different from normal products, usually equipment products are over-sized & over-weighted with special shapes, so they require high-level transportation conditions and modes and also require the carrier to have necessary abilities to undertake the tasks. Because of the complexity of project/equipment products transportation, normally two or more modes will be involved in the transportation for project logistics.
Here is the current status of the river transportation for Project products:
¡ñ The service cannot be easily copied, so the competition is not very serious and to some extent, it can bring generous profits.
¡ñ In the area of river transportation, Rockwood has gained some advantages about purchasing and operating now, and has also established a good customer base already.
¡ñ Rockwood is very competitive and has strong partners in Yangtze River (especially the upper reaches), MinJiang River and JinshaJiang River. We are working hard to form a local operating advantage with the Group¡¯s special support.
The cost of river transportation is 20%-30% lower than railway transportation and 50% lower than road transportation. Meanwhile the traffic capacity of Yangtze River¡¯s upper reaches is equal to 4 railways¡¯ capacity. For those oversized cargos, waterway transportation is the only choice. What¡¯s more, the upgrade of vessels and ships makes the transit time shorter. After the storage works of Three Gorges Reservoir Area finished, the ships and vessels can move 24 hours per day, the transit time between Chongqin and Shanghai, also between Leshan and Yibin will be shortened.
To meet the needs in this field, Rockwood Chengdu office has developed project logistics for many years and gained very rich experience. Based on this, Rockwood Shipping (Chengdu) Co. Ltd. was established in 2009. The first bulk cargo vessel¡¯s launch becomes the start point of Rockwood¡¯s expansion of its own fleet for river transportations. In this year Chengdu branch will develop new business, especially put the emphasis on project logistics. According to the plan, we will mainly use the sales modes as ¡°Two Patterns, Three Districts, Four Ports, Networking¡±.
Two Patterns means on one hand maintain and enhance the original market and clients, on the other hand, develop clients of project logistics;
Three Districts include Suchuan, Yunnan and Guizhou which can be connected by certain points and be developed together.
Four Ports include Leshan port in the upper reaches of Minjiang River, Chongqin port in the middle reaches of Yangtze River, Shanghai port in the upper reaches of Yangtze River and Shuifu port in the lower reaches of Jinshajiang River.
Networking means that we should cooperate with strong partners from different areas and make full use of mutual advantages, at this moment the networks we have already had are as follows:
¡ñ Leshan-Yibin
¡ñ Yibin-Shanghai
¡ñ Shuifu-Yibin
¡ñ Shanghai-Huangpu
¡ñ Northern ports in China-Shanghai
¡ñ Chengdu-Fangcheng-Southeast Asia
Except the service for domestic project logistics, we are also planning to operate the whole process of international project logistics with the help of the Group¡¯s strong agent network all over the world. The service for international project logistics is more profitable than the pure domestic service, so we will also pay some attention to the development of international project logistics.
With the advantages of Rockwood Group and its domestic & overseas partners, Rockwood Shipping (Chengdu) Co., Ltd. can provide our clients high-quality project logistics services including transportation for over-sized cargo, whole sets of engineering equipments, equipments for power stations. Our service scope covers not only inter-provincial waterway transportation & transportations between costal ports but also transportation between China & the overseas countries. We would like to develop this new business together with our traditional business in the same professional way and provide our clients best service continuously!
